SEC says the race is on - TheBit

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SEC says the race is on



Professor Ripple aims to educate

 

The Bit

Ripple just created the University Blockchain Research Initiative (UBRI)  to get to work on the future.

 

The Bigger Picture

Their initial funding to get the project up and running is $50 Million, and the information so far is unclear on whether there will be more money to come. Ripple’s announcement does note that this is only the “first wave” of partners. There are 17 total universities involved right now, and of those, 7 are American universities. The overall goal is to “support and accelerate academic research, technical development and innovation in blockchain, cryptocurrency and digital payments.”

 

1.1 billion in stolen cryptocurrency

 

The Bit

$48 billion was the cost of retail theft in America in 2017, that’s 43 times more than crypto theft…so far this year.

 

The Bigger Picture

Almost more importantly than that contrast, 27% of theft was taken from exchanges, and most of that value was refunded to customers. Most notably, the $500 million NEM theft from Coincheck was refunded earlier this year. Another 21% came from businesses. A CNBC article makes sure to note that with traditional banks there are tools in place to prevent these awful crimes. Yet, $16.8 billion was stolen from U.S. citizens last year through fraud schemes. Crypto doesn’t steal from people – people steal from people.

 

SEC says 3, 2, 1…RACE

 

The Bit

The SEC is provoking exchanges to race to get regulated, who’s going to cross the finish line first is the question.

 

The Bigger Picture

Coinbase, Circle, and others are racing to get regulated, both to make nice with investors, the public, and the SEC. The SEC is making everyone play by the rules, especially since ICOs have already raised more than $9 billion this year. With regulation does come some benefits though: Licenses will also enable companies to offer more services and expand into the multibillion-dollar world of institutional finance.

 

“I think ultimately consumers need to look out for themselves, look into the fundamentals of any cin and not rely on any particular exchange to protect them from market volatility.” – Jesse Powell, founder and CEO of Kraken


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